The Internal Revenue Service is postponing the date for filing gift tax and generation-skipping transfer tax returns and making payments until July 15, 2020, because of the novel coronavirus pandemic.
The IRS issued Notice 2020-20 on Friday, extending the relief it provided earlier this month on the tax-filing and payment dates for most other types of tax returns. The IRS also said the associated interest, additions to tax, and penalties for late filing or late payment will be suspended for the gift tax and generation-skipping transfer tax until July 15.
Bill Smith is the managing director for CBIZ MHM’s national tax office.
Sophie Lagouanelle is head of solutions for Accuity.
Nenshad Bardoliwalla is a co-founder and vice president at Paxata. He is the lead author of "Driven to Perform: Risk-Aware Performance Management From Strategy Through Execution." Nenshad co-founded Tidemark Systems Inc. where he drove the market, product and technology efforts for their next-generation analytic applications built for the cloud. He formerly served as vice president for product management, product development and technology at SAP where he helped to craft the business analytics vision, strategy and roadmap leading to the acquisitions of Pilot Software, OutlookSoft, and Business Objects. Prior to SAP, he helped launch Hyperion System 9 while at Hyperion Solutions. Nenshad began his career at Siebel Systems working on Siebel Analytics.
The relief is automatic and applies to any amounts due related to these types of returns. There’s no requirement to file for an extension and the three-month period between the original due date of April 15 and the new deadline of July 15 will be disregarded in terms of any interest, penalties or extra taxes for those who fail to file a Form 709 United States Gift and Generation-Skipping Transfer Tax Return by April 15.
Groups of tax and accounting professionals such as the American Institute of CPAs, the National Society of Accountants and the National Conference of CPA Practitioners have been pressing the IRS to provide additional forms of tax relief beyond the initial relief granted for tax payments from coronavirus victims.
